Inner and Outer Controls That Work Against Our Tendencies to Deviate

question 84

Multiple Choice

Inner and outer controls that work against our tendencies to deviate is known as what theory?

• A) rationalization theory
• B) judgment theory
• C) self-control theory
• D) control theory

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Definitions:

Marginal Benefit

Marginal Benefit is the additional satisfaction or utility that a person receives from consuming an additional unit of a good or service.

Marginal Cost

The supplementary expense associated with creating an additional unit of a product or service.

Principal-Agent Problem

A scenario in which there is a conflict of interest between a party that delegates work (principal) and the party that performs the work (agent).

Corporations

Legal entities that are separate from their owners, with the ability to own assets, incur liabilities, and engage in contracts or legal actions.